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New version of club spending rules has been announced

Posted by Unbelievable Geoff <iframe src='https://members3.boardhost.com/marionsboard/info/user=Unbelievable+Geoff' width='330' height='300' border=0 style='border:none;'> on May 17, 2026, 21:47:26

Sky Bet Championship
Championship Clubs have approved a new Squad Cost Rules (SCR) financial framework that will replace the current Profitability and Sustainability (P&S) rules from Season 2026/27.

During the course of the 2025/26 season, Championship Clubs have been operating an SCR system in shadow, alongside the P&S Rules, to allow Clubs to assess the proposed rule changes and provide the League with further information to enable wider consultation with stakeholders.

The SCR system limits Clubs spending on Player and Manager-related costs (including transfer fees) to a set percentage of their income, alongside a limited level of owner funding.

From the 2026/27 season the SCR allowance for Clubs will be set at 85% of income, with a flexible equity top-up allowance of £33m over a three-year period (up to a maximum of £15m a season).

The new framework allows for real-time monitoring during the season, rather than reviewing ‘after the event’, with the aim of giving Clubs greater clarity and the Club Financial Reporting Unit earlier visibility over Clubs’ financial position.

The framework also includes safeguards around commercial deals linked to Owners or associated parties.

The changes are intended to create a simpler and more responsive system of cost control within the Championship.

A version of the SCR framework is also to be introduced in the Premier League for the 2026/27 season, bringing closer alignment between the divisions.

Sky Bet League One and League Two
League One Clubs approved changes to the existing Salary Cost Management Protocol (SCMP) rules, with the aim of reducing losses and the reliance on owner funding in the division.

The long-standing SCMP rules limit spending on player wages to a percentage of a Club’s Turnover.

As part of the amendments to SCMP, the percentage of Turnover that Clubs in League One will be able to spend on wages has been reduced from 60% to 50%, with Manager costs to now also be included within the SCMP Calculation.

Clubs relegated from the Championship will be permitted to spend 65% of Turnover on wages during their first season in League One, reduced from 75% under the current rules.

League One Clubs also approved a change to remove the staggered approach to equity injections in the division, meaning that all equity injections will be included within the calculation at 50%.

As an example, this means that if an Owner invests £500k into the Club, a maximum of £250k (in addition to that already permitted as a percentage of Turnover) can be spent on wages.

This approach is intended to encourage investment into other areas of Club operations, such as infrastructure and youth development.

The new rules further strengthen financial control and are another important step towards helping Clubs to operate on a more sustainable basis.

In League Two, a proposed change which would have seen the division mirror the League One approach to equity injections did not carry.